Statement by Paul Macielak, president and CEO
“As New York Senators consider the confirmation of a new Superintendent for the Department of Financial Services, we trust they will seek answers to the problems we’re seeing with New York’s health insurance rate setting process.
“Questions such as why, despite promises made when the law re-establishing prior approval was enacted that rates would not be politicized, the Department has artificially suppressed rates in each of the past two years.
“Questions such as what DFS should have done differently to avoid the failure of Health Republic, which left hundreds of thousands of consumers scrambling for new coverage quite literally at the eleventh hour.
“We also hope Senators will ask about the insurance industry’s reports of the Department’s slow review of regulatory applications as well as heavy-handed and excessive penalties. Contrary to the Governor’s assertion that “New York is Open for Business,” these practices create a regulatory environment that discourages companies from doing business here.
“DFS has a responsibility to protect consumers and part of that includes protecting insurer solvency to ensure consumers have a choice of plans and access to affordable health care coverage. The Senate should be certain that the new Superintendent has a plan to balance those two priorities.”